Chapter 4738: MOTOR VEHICLE SALVAGE

(A) "Motor vehicle salvage dealer" means any person
who engages in business primarily for the purpose of selling salvage motor
vehicle parts and secondarily for the purpose of selling at retail salvage
motor vehicles or manufacturing or selling a product of gradable scrap
metal.

(B) "Salvage motor vehicle" means any motor vehicle
which is in a wrecked, dismantled, or worn out condition, or unfit for
operation as a motor vehicle.

(C)
"Salvage motor vehicle auction" means any person who on
the
person's behalf or as an agent for a third party engages in business for
the purpose of auctioning salvage motor vehicles .

(D)
"Salvage motor vehicle pool" means any person who as an agent for a third party
engages in business for the purpose of storing, displaying, and offering for
sale salvage motor vehicles .

(E)
"Engaging in business" means commencing, conducting, or continuing in business,
or liquidating a business when the liquidator thereof holds
the
liquidator out to be conducting such business; making a casual sale or
otherwise making transfers in the ordinary course of business when the
transfers are made in connection with the disposition of all or substantially
all of the transferor's assets is not engaging in business.

(F)
"Retail sale" or "sale at retail" means the act or attempted act of selling,
bartering, exchanging, or otherwise disposing of salvage motor vehicles or
salvage motor vehicle parts to a person who purchases the salvage
motor vehicle or salvage motor vehicle parts for use as a
consumer.

(G) "Authorized
purchaser" meansa person who purchases a salvage motor vehicle
from a
salvage motor vehicle auction or salvage
motor vehicle pooland who satisfies either
of the following criteria:

(1) The person is a motor vehicle salvage dealer who is
licensed pursuant to this chapter; a junk yard that is licensed pursuant to
section 4737.07 of the Revised Code; a
scrap metal processing facility that is licensed pursuant to section
4737.07 of the Revised Code; a
used motor vehicle dealer who is licensed pursuant to section
4517.02 of the Revised Code; a
salvage dismantler or automotive recycler; or a salvage dealer, junk yard,
scrap metal processing facility, used motor vehicle dealer, salvage dismantler,
or automotive recycler business authorized to purchase salvage motor vehicles
by another state, country, or jurisdiction.

(2) The person does not satisfy the criteria described in
division (G)(1) of this section but has purchased not more than a total of five
salvage motor vehicles in the current calendar year from any salvage motor
vehicle auction or salvage motor vehicle pool located in
Ohio.

(H) "Business" includes any activities engaged in by
any person for the object of gain, benefit, or advantage either direct or
indirect.

(I) "Casual sale" means any transfer of a salvage
motor vehicle by a person other than a motor vehicle salvage dealer,
salvage motor vehicle auction, or salvage motor vehicle
pool, to a person who purchases the salvage motor vehicle for
use as a consumer.

(A) Except as provided in divisions (B) and
(E) of
this section, no person shall engage in the business of selling at retail
salvage motor
vehicle parts without first obtaining a motor vehicle salvage dealer's
license pursuant to this chapter.

(1)
Except as provided in divisions (C)and (E) of this section, no
person shall engage in the business of selling at
retail salvage motor vehicles nor, other than as a lessor, provide a location
or a space for the sale of salvage motor vehicles without first obtaining a
motor vehicle salvage dealer's license, a salvage motor vehicle auction
license, or a salvage motor vehicle pool license pursuant to this
chapter.

(2) Notwithstanding division
(B)(1) of this section, a person may sell salvage motor vehicles at retail to
or through a salvage motor vehicle auction or salvage motor vehicle pool
without obtaining any license pursuant to this chapter if both of the following
apply:

(a) The acquisition of
salvage motor vehicles is incidental to the primary business of the
person.

(b) The disposal of those
salvage motor vehicles is incidental to the primary business of the
person.

(C) No person shall make more than five casual sales
of salvage motor vehicles in a calendar year.

(D) Except as
provided in division (E) of this section, no person shall operate as a
salvage motor vehicle auction or salvage motor vehicle pool without first
obtaining the appropriate license pursuant to this chapter.

(E) In case of the
dissolution of a partnership by death, the surviving partner may operate under
any license obtained by the partnership pursuant to this chapter for a period
of sixty days and the heirs or representatives of deceased persons and
receivers or trustees in bankruptcy appointed by any competent authority may
operate under the license of the person succeeded in possession by the heir,
representative, receiver, or trustee in bankruptcy.

(F) Nothing in this
chapter applies to any public officer performing his official duties.

(A) Every salvage motor
vehicle auction and salvage motor vehicle pool shall do all of the
following:

(1) Keep an electronic record
of all sales of salvage motor vehicles and shall include in the record the
make, model, year, vehicle identification number, and the names and addresses
of the purchaser and seller of the salvage motor vehicle.

(2) Obtain from any authorized purchaser of an Ohio
salvage motor vehicle a copy of a driver's license, passport, or other
government-issued identification. Every salvage motor vehicle auction and
salvage motor vehicle pool shall maintain a copy of this identification for a
period of two years.

(3) Obtain from any person who is an authorized purchaser
as defined in division (G)(1) of section
4738.01 of the Revised Code
documented proof of any required license or other authorization to do business
pursuant to this chapter or, for any person residing in a state, jurisdiction,
or country that does not issue a motor vehicle salvage dealer, junk yard, scrap
metal processing facility, used motor vehicle dealer, salvage dismantler, or
automotive recycler license, a declaration under penalty of perjury that the
authorized purchaser is authorized to purchase salvage vehicles in that
person's state, jurisdiction, or country. The declaration may be submitted by
the authorized purchaser in electronic or written format. Every salvage motor
vehicle auction and salvage motor vehicle pool shall maintain a copy of this
documentation for a period of two years.

(4) Obtain from any person who is an authorized purchaser
as defined in division (G)(2) of section
4738.01 of the Revised Code a
declaration under penalty of perjury that the authorized purchaser is not
making a purchase in excess of the applicable limit identified in that
division. The salvage motor vehicle auction or salvage motor vehicle pool shall
maintain that declaration for a period of two years. The declaration may be
submitted by the authorized purchaser in electronic or written format.

(5) For any sale of a salvage
motor vehicle to a person residing in another country, stamp the words "FOR
EXPORT ONLY" on both of the following:

(a) The face of the vehicle title so as not to obscure the
name, date, or mileage statement;

The words "FOR EXPORT ONLY" shall be in all capital, black
letters, be at least two inches wide, and be clearly legible.

(B) Every salvage motor vehicle auction and salvage motor
vehicle pool shall submit the information collected pursuant to division (A)(1)
of this section on a monthly basis to a third party consolidator selected by
the registrar of motor vehicles pursuant to the rules adopted by the registrar
in division (C) of this section.

(1) Within twelve months after the effective date of this
section, the registrar shall contract with an entity approved as a third party
data consolidator to the national motor vehicle title information system for
the development of a statewide database for the submission of the information
collected pursuant to division (A)(1) of this section. The system shall be used
to maintain an accurate record of all sales conducted by a salvage motor
vehicle auction or salvage motor vehicle pool. All expenses of this contract
shall be paid from the state bureau of motor vehicles fund created in section
4501.25 of the Revised
Code.

(2) The registrar may adopt
any rules pursuant to Chapter 119. of the Revised Code as necessary to
facilitate the timely submission of the information required pursuant to this
section.

The registrar shall make the information the registrar
receives under this section available to any state or local law enforcement
agency upon request.

(A)
Every salvage motor vehicle auction and salvage motor vehicle pool shall do all
of the following:

(1) Keep an
electronic record of all sales of salvage motor vehicles and shall include in
the record the make, model, year, vehicle identification number, and the names
and addresses of the purchaser and seller of the salvage motor
vehicle.

(2) Obtain
from any authorized purchaser of an Ohio salvage motor vehicle a copy of a
driver's license, passport, or other government-issued identification. Every
salvage motor vehicle auction and salvage motor vehicle pool shall maintain a
copy of this identification for a period of two years.

(3)
Obtain from any person who is an authorized purchaser as defined in division
(G)(1) of section 4738.01 of the Revised Code
documented proof of any required license or other authorization to do business
pursuant to this chapter or, for any person residing in a state, jurisdiction,
or country that does not issue a motor vehicle salvage dealer, junk yard, scrap
metal processing facility, used motor vehicle dealer, salvage dismantler, or
automotive recycler license, a declaration under penalty of perjury that the
authorized purchaser is authorized to purchase salvage vehicles in that
person's state, jurisdiction, or country. The declaration may be submitted by
the authorized purchaser in electronic or written format. Every salvage motor
vehicle auction and salvage motor vehicle pool shall maintain a copy of this
documentation for a period of two years.

(4)
Obtain from any person who is an authorized purchaser as defined in division
(G)(2) of section 4738.01 of the Revised Code a
declaration under penalty of perjury that the authorized purchaser is not
making a purchase in excess of the applicable limit identified in that
division. The salvage motor vehicle auction or salvage motor vehicle pool shall
maintain that declaration for a period of two years. The declaration may be
submitted by the authorized purchaser in electronic or written
format.

(5) For any
sale of a salvage motor vehicle to a person residing in another country, stamp
the words "FOR EXPORT ONLY" on both of the following:

(a)
The face of the vehicle title so as not to obscure the name, date, or mileage
statement;

The words "FOR EXPORT ONLY" shall be
in all capital, black letters, be at least two inches wide, and be clearly
legible.

(B)
Every salvage motor vehicle auction and salvage motor vehicle pool shall submit
the information collected pursuant to division (A)(1) of this section on a
monthly basis to a third party consolidator selected by the registrar of motor
vehicles pursuant to the rules adopted by the registrar in division (C) of this
section.

(1)
Within twelve months after March 23, 2015, the
registrar shall contract with an entity approved as a third party data
consolidator to the national motor vehicle title information system for the
development of a statewide database for the submission of the information
collected pursuant to division (A)(1) of this section. The system shall be used
to maintain an accurate record of all sales conducted by a salvage motor
vehicle auction or salvage motor vehicle pool. All expenses of this contract
shall be paid from the public safety - highway
purposes fund created in section 4501.06 of the Revised
Code.

(2) The
registrar may adopt any rules pursuant to Chapter 119. of the Revised Code as
necessary to facilitate the timely submission of the information required
pursuant to this section.

The
registrar shall make the information the registrar receives under this section
available to any state or local law enforcement agency upon request.

Cite as R.C. § 4738.021

Amended by
132nd General Assembly File No.
TBD, HB 26, §101.01, eff.
6/30/2017; however, the modifications to provisions of law
requiring the deposit of funds into the Public Safety - Highway Purposes Fund
that are made in this section shall take effect not earlier than July 1,
2017.

(A) No person licensed as a motor vehicle salvage
dealer under this chapter shall engage in the business of selling at retail
salvage motor vehicle parts or salvage motor vehicles, unless the business is
operated primarily for the purpose of selling at retail salvage motor vehicle
parts. Any person operating such a business primarily for the purpose of
selling at retail salvage motor vehicle parts may secondarily sell at retail
salvage motor vehicles or manufacture a product of gradable scrap metal for
sale to scrap metal processors or any other consumer.

(B) No
person licensed as a salvage motor vehicle auction under this chapter shall:

(1)Knowingly sell a salvage motor vehicle
to anyone other than an authorized
purchaser;

(2) Sell a
salvage motor vehicle when having reasonable cause to believe it is not offered
by the legal owner thereof;

(3) Fail to make an
Ohio salvage certificate of title available to the purchaser of a salvage motor
vehicle sold by the salvage motor vehicle auction, before payment for the
salvage motor vehicle is completed;

(4) Operate as a
motor vehicle salvage dealer at the same location where any salvage motor
vehicle auction is operated.

(C) No
person licensed as a salvage motor vehicle pool under this chapter shall:

(1)Knowingly sell a salvage motor vehicle
to anyone other than an authorized
purchaser;

(2) Sell a
salvage motor vehicle when having reasonable cause to believe it is not offered
by the legal owner thereof;

(3) Fail to make an
Ohio salvage certificate of title available to the purchaser of a salvage motor
vehicle sold by the salvage motor vehicle pool, before payment for the salvage
motor vehicle is completed;

(4) Operate as a
motor vehicle salvage dealer at the same location where any salvage motor
vehicle pool is operated.

Each person applying for
a motor vehicle salvage dealer license or a salvage motor vehicle auction
license or a salvage motor vehicle pool license shall make out and deliver to
the registrar of motor vehicles, upon a blank to be furnished by the registrar
for that purpose, a separate application for license for each county in which
the business is to be conducted. The application for each type of license shall
be in the form prescribed by the registrar and shall be signed and sworn to by
the applicant. The application for a license for a motor vehicle salvage
dealer, a salvage motor vehicle auction, or salvage motor vehicle pool, in
addition to other information as is required by the registrar, shall include
the following:

(B) Name or style under which business is to be
conducted and, if a corporation, the state of incorporation;

(C)
Name and address of each owner or partner and, if a corporation, the names of
the officers and directors;

(D)
The county in which the business is to be conducted and the address of each
place of business therein;

(E) A
financial statement of the applicant showing the true financial condition as of
a date not earlier than six months prior to the date of the
application;

(F) A statement of the previous history, record, and
association of the applicant and of each owner, partner, officer, and director,
which statement shall be sufficient to establish to the satisfaction of the
registrar the reputation in business of the applicant;

(G) A
statement showing whether the applicant has previously been convicted of a
crime of
moral turpitude or a disqualifying offense as those terms are defined in
section 4776.10 of the Revised
Code;

(H) A statement showing whether the applicant has
previously applied for a license under this chapter and the result of the
application, and whether the applicant has ever been the holder of any such
license which was revoked or suspended;

(I) If
the applicant is a corporation or partnership, a statement showing whether any
of the partners, officers, or directors have been refused a license under this
chapter, or have been the holder of any such license which was revoked or
suspended.

At the time the registrar of motor vehicles grants the
application of any person for a license under this chapter, the registrar shall
issue to the person a license that shall have provisional status for a period
of one hundred eighty days from the date of issuance. At the end of that period
and subject to the results of the inspection described in section
4738.071 of the Revised Code of
the place of business of the license holder, the license either shall be
revoked or shall remain valid and no longer have provisional status. The
registrar shall prescribe forms for licenses, and all licenses shall include
the name and post office address of the person licensed. The fee for a motor
vehicle salvage dealer's license, a salvage motor vehicle auction license, or a
salvage motor vehicle pool license shall be one hundred dollars. In all cases
the fee shall accompany the application for license. If a licensee has more
than one place of business in the county, the licensee shall make application,
in a form as the registrar prescribes, for a certified copy of the license
issued to the person for each place of business operated. In the event of the
loss, mutilation, or destruction of a license issued under sections
4738.01 to
4738.16 of the Revised Code, any
licensee may make application to the registrar, in a form as the registrar
prescribes, for a duplicate copy thereof. The fee for a certified or duplicate
copy of a license is one dollar. All fees for copies shall accompany the
applications. Beginning on the effective date of this amendment, all licenses
issued or renewed shall expire biennially on a day within the two-year license
cycle that is prescribed by the registrar, unless sooner suspended or revoked.
Before the first day after the day prescribed by the registrar in the year that
the license expires, each motor vehicle salvage dealer, salvage motor vehicle
auction, or salvage motor vehicle pool in the year in which the license will
expire, shall file an application, in a form as the registrar prescribes, for
the renewal of the license. The fee provided in this section for the original
license shall accompany the application.

All license fees required by section
4738.05 of the Revised Code shall
be paid to the registrar of motor vehicles, who shall pay the same into the
state treasury to the credit of the state bureau of motor vehicles fund
established in section
4501.25 of the Revised Code.

All license fees
required by section 4738.05 of the Revised Code
shall be paid to the registrar of motor vehicles, who shall pay the same into
the state treasury to the credit of the public safety -
highway purposes fund established in section 4501.06 of the Revised
Code.

Cite as R.C. § 4738.06

Amended by
132nd General Assembly File No.
TBD, HB 26, §101.01, eff.
6/30/2017; however, the modifications to provisions of law
requiring the deposit of funds into the Public Safety - Highway Purposes Fund
that are made in this section shall take effect not earlier than July 1,
2017.

(A) Except as
otherwise provided in division (B) of this section, the registrar of
motor vehicles shall deny the application of any person for a license under
this chapter and refuse to issue the person a license if the registrar finds that the
applicant:

(1) Has made false statement of a
material fact in the individual's application;

(3) Is of bad business repute or has
habitually defaulted on financial obligations;

(4) Has been convicted of
or pleaded guilty to a crime of moral
turpitude or a disqualifying offense as defined in section
4776.10 of the Revised
Code;

(5) Has been guilty of a fraudulent act
in connection with dealing in salvage motor vehicles or when operating as a
motor vehicle salvage dealer, salvage motor vehicle auction, or salvage motor
vehicle pool;

(7) Is of insufficient responsibility to
assure the prompt payment of any final judgments which might reasonably be
entered against the individual because of the transaction of
the
individual's business during the period of the license applied
for;

(1) Except
as otherwise provided in this division, the registrar of motor vehicles may
grant, but is not required to grant, the application of any person for a
license under this chapter if the registrar finds that the applicant has been
convicted of or pleaded guilty to either of the following:

(a) A
misdemeanor that is not a crime of moral turpitude or a disqualifying offense
less than a year prior to the person's initial application;

(b) A
felony that is not a crime of moral turpitude or a disqualifying offense less
than three years prior to the person's application.

(2) The
provisions in division (B)(1) of this section do not apply with respect to any
offense unless the registrar, prior to the effective date of this amendment,
was required or authorized to deny the registration based on that
offense.

(3) In considering a renewal of an individual's license,
the registrar shall not consider any conviction or plea of guilty prior to the
initial licensing. However, the registrar may consider a conviction or plea of
guilty if it occurred after the individual was initially licensed, or after the
most recent license renewal.

(C) The
registrar may grant a person a conditional license that lasts for one year.
After the one-year period has expired, the license is no longer considered
conditional, and the person shall be considered fully licensed.

(D) If the applicant is a
corporation or partnership, the registrar may refuse to issue a license if any
officer, director, or partner of the applicant has been guilty of any act or
omission which would be cause for refusing or revoking a license issued to the
officer, director, or partner as an individual. The registrar's finding may be
based upon facts contained in the application or upon any other information
which he may have. Immediately upon denying an application for any of the
reasons in this section, the registrar shall enter a final order together with
the
registrar's findings and certify the same to the motor vehicle salvage
dealer's licensing board.

(E) If the
registrar refuses an application for a license, the reasons for such refusal
shall be put in writing. An applicant who has been refused a license may
appeal from the action of the registrar to the motor vehicle salvage dealer's
licensing board in the manner prescribed in section
4738.12 of the Revised
Code.

(F) The
registrar of motor vehicles shall not adopt, maintain, renew, or enforce any
rule, or otherwise preclude in any way, an individual from receiving or
renewing a license under this chapter due to any past criminal activity or
interpretation of moral character, except as pursuant to division (A)(4), (5),
and (B) of this section. If the registrar denies an individual a license or
license renewal, the reasons for such denial shall be put in writing.

When a person is first issued a license under this chapter, the
license shall have provisional status for a period of one hundred eighty days
from the date of issuance. Not later than one hundred eighty days after the
date of issuance of a provisional license, the registrar of motor vehicles
shall inspect or cause to be inspected the place of business of any person who
is the holder of the license. If the person conducting the inspection
determines that the license holder has complied with all the requirements with
which holders of licenses issued under this chapter are required to comply, he
shall notify the license holder of that fact. The notification initially may be
verbal, but shall be followed by a written notice. The person conducting the
inspection also shall notify the registrar of that fact, and the registrar
shall send the license holder written notice informing him that his license no
longer has provisional status and shall remain valid until its expiration date
unless it is suspended or revoked in accordance with this chapter. If the
person conducting the inspection determines that the license holder has not
complied with all the requirements with which holders of licenses issued under
this chapter are required to comply, he shall notify the license holder of that
fact. The notification initially may be verbal, but shall be followed by a
written notice. The person conducting the inspection also shall notify the
registrar of that fact, and the registrar shall send the license holder written
notice informing him that his license is revoked and that he may appeal the
revocation to the motor vehicle salvage dealer's licensing board. Immediately
upon revoking the provisional license of the license holder, the registrar
shall enter a final order together with his findings and certify the same to
the motor vehicle salvage dealer's licensing board.

On receipt of a notice pursuant to section
3123.43 of the Revised Code, the
motor vehicle salvage dealer's licensing board shall comply with sections
3123.41 to
3123.50 of the Revised Code and
any applicable rules adopted under section
3123.63 of the Revised Code with
respect to a license issued pursuant to this chapter.

Any person licensed under this chapter shall notify the
registrar of motor vehicles concerning any change in the status of his business
during the period for which he is licensed, if the change of status concerns
the following:

(B) Location of office or principal place of business.
Notification shall be made by filing with the registrar, within fifteen days
after the change of status, a supplemental statement in a form prescribed by
the registrar showing in what respects the status has been changed.

The motor vehicle salvage dealer's licensing board shall
consist of five members. The registrar of motor vehicles or his designee shall
be a member of the board, and the other four members shall be appointed by the
governor with the advice and consent of the senate. Two appointed members shall
have operated as a motor vehicle salvage dealer, salvage motor vehicle auction,
or salvage motor vehicle pool in this state for at least five years and have
been engaged in the business within two years previous to the date of their
appointment. Two appointed members shall represent the public and shall not
have been engaged in any such business or operation. Not more than two members
other than the registrar shall be of any one political party. Terms of office
of the four members appointed by the governor shall commence on the first day
of August and end on the last day of July, and be for three years, except that
one initial term shall be for one year, and one initial term shall be for two
years. Each member shall hold office from the date of his appointment until the
end of the term for which he was appointed. Any member appointed to fill a
vacancy occurring prior to the expiration of the term for which his predecessor
was appointed shall hold office for the remainder of such term. Any appointed
member shall continue in office subsequent to the expiration date of his term
until his successor takes office, or until a period of sixty days has elapsed,
whichever occurs first. Annually the board shall organize by selecting from its
members a president. Each appointed member of the board shall receive an amount
fixed in accordance with division (J) of section
124.15 of the Revised Code for each
day of actual service during the meetings of the board, and shall be reimbursed
for the actual and necessary expenses incurred in the discharge of his official
duties.

The motor vehicle salvage dealer's licensing board shall be a
part of the department of public safety for administrative purposes in the
following respects:

(A) The
registrar of motor vehicles shall be ex officio secretary and executive officer
of said board, but he may designate any employee of the bureau of motor
vehicles as acting secretary to perform the duties and exercise the powers of
secretary of the board.

(B) All
clerical, inspection, and other agencies for the execution of the powers and
duties vested in said board shall be in the bureau of motor vehicles, which
shall provide the necessary employees as authorized by section
4501.02 of the Revised Code. The
motor vehicle salvage dealer's licensing board may publish each year a
directory or list of licensed motor vehicle salvage dealers, salvage motor
vehicle auctions, and salvage motor vehicle pools and may publish therewith any
matter it considers pertinent. The board shall mail one copy of such directory
to each licensee without charge.

(A) The motor
vehicle salvage dealer's licensing board shall adopt rules prescribing the
physical characteristics of facilities used by motor vehicle salvage dealers,
salvage motor vehicle auctions, and salvage motor vehicle pools, which shall
include requirements for fencing or otherwise screening the view of the
facilities to at least the extent required for junkyards by sections
4737.07 and
4737.09 of the Revised Code. Such
rules shall be consistent with the standards adopted by the director of
transportation pursuant to the "Highway Beautification Act of 1965," 79 Stat.
1030, 23 U.S.C.A. 361, as amended. Enforcement of the screening regulations of
this division shall be subject to approval, supervision, and action of the
director of transportation. The director may enforce the screening regulations
of this section if he considers that such regulations are not adequately
enforced.

(B) The board may make
such other reasonable rules as are necessary to carry out and effect sections
4738.01 to
4738.12 of the Revised Code, and
further rules as are necessary relating to the time, place, and manner of
conducting hearings on the issuance, suspension, or revocation of licenses. The
board may hear testimony in matters relating to the duties imposed upon it and
the president and the secretary of the board may administer oaths. The board
may require any proof it deems advisable and may require the attendance of
witnesses and the production of books, records, and papers as it desires at any
hearing before it or relating to any matter which it has authority to
investigate. The board may, through its secretary, issue a subpoena for any
witness, or a subpoena duces tecum for the production of any books, records,
and papers, directed to the sheriff of the county where a witness resides or is
found, which subpoena shall be served and returned in the same manner as a
subpoena in a criminal case. The fees of the sheriff shall be the same as that
allowed in the court of common pleas in criminal cases . Witnesses shall be
paid the fees and mileage provided for under section
119.094 of the Revised Code. The
fees and mileage shall be paid in the same manner as other expenses of the
board. Depositions of witnesses residing within or without the state may be
taken by the board in the manner prescribed for like depositions in civil
actions in the court of common pleas. In any case of disobedience to or neglect
of any subpoena served on any person, or the refusal of any witness to testify
to any matter regarding which he may lawfully be interrogated, the court of
common pleas of any county where disobedience, neglect, or refusal occurs, or
any judge thereof on application of the secretary of the board, shall compel
obedience by attachment proceedings for contempt as in the case of disobedience
of a subpoena issued from the court or a refusal to testify therein.

The motor vehicle salvage dealer's licensing board shall hear
appeals which may be taken from an order of the registrar of motor vehicles,
refusing to issue a license. All appeals from any order of the registrar
refusing to issue any license upon proper application made must be taken within
thirty days from the date of the order, or the order is final and conclusive.
All appeals from orders of the registrar must be by petition in writing and
verified under oath by the applicant whose application for license has been
denied, and must set forth the reason why, in the petitioner's opinion, the
order of the registrar is not correct. In appeals the board may make
investigation to determine the correctness and legality of the order of the
registrar. The board may make rules governing its actions relative to the
suspension and revocation of licenses and may, upon its own motion, and shall,
upon the verified complaint in writing of any person, investigate the conduct
of any licensee under this chapter. The board shall suspend or revoke or notify
the registrar to refuse to renew any license if any ground existed upon which
the license would have been refused, or if a ground exists which would be cause
for refusal to issue a license. The board may suspend or revoke any license if
the licensee has in any manner violated the rules issued pursuant to sections
4738.01 to
4738.16 of the Revised Code, or
has been convicted of committing a felony or violating any law which in any way
relates to the theft of motor vehicles.

(A) The
prosecuting attorneys of the several counties shall assist the registrar of
motor vehicles upon his request and shall assist the motor vehicle salvage
dealer's licensing board upon its request in enforcing sections
4738.01 to
4738.16 of the Revised Code, and
in prosecuting and defending proceedings under such sections.

(B) Upon the written request of the
registrar of motor vehicles or the motor vehicle salvage dealer's licensing
board, or upon the attorney general's becoming aware of, by his own inquiries
or as a result of complaints, any criminal or improper activity related to this
chapter, the attorney general shall investigate any criminal or civil violation
of law related to this chapter.

(C) If the attorney general, by his own inquiries or
investigation or as a result of complaints, has reasonable cause to believe
that any person has engaged or is engaging in an act or practice that violates
section 4738.02,
4738.03, or
4738.04 of the Revised Code, he
may bring an action, with notice as required by Civil Rule 65, to obtain a
temporary restraining order, preliminary injunction, or permanent injunction to
restrain the act or practice. If the attorney general shows by a preponderance
of the evidence that the person has violated or is violating section
4738.02,
4738.03, or
4738.04 of the Revised Code, the
court may issue a temporary restraining order, preliminary injunction, or
permanent injunction to restrain and prevent the act or practice. On motion of
the attorney general, or on its own motion, the court may impose a civil
penalty of not more than five thousand dollars for each day of violation of a
temporary restraining order, preliminary injunction, or permanent injunction
issued under this division, if the person received notice of the action. The
civil penalties shall be paid as provided in division (D) of this section. Upon
the commencement of an action under this division against any person licensed
under this chapter, the attorney general shall immediately notify the registrar
and the motor vehicle salvage dealer's licensing board that such an action has
been commenced against the person.

(D) Civil penalties ordered pursuant to division (B)
of this section shall be paid as follows: one-fourth of the amount to the
treasurer of state to the credit of the state bureau of motor vehicles fund
established in section
4501.25 of the Revised Code and
three-fourths of the amount to the treasurer of state to the credit of the
general revenue fund.

(A)
The prosecuting attorneys of the several counties shall assist the registrar of
motor vehicles upon the registrar's request and shall assist the
motor vehicle salvage dealer's licensing board upon its request in enforcing
sections 4738.01 to
4738.16 of the Revised Code, and
in prosecuting and defending proceedings under such sections.

(B)
Upon the written request of the registrar of motor vehicles or the motor
vehicle salvage dealer's licensing board, or upon the attorney general's
becoming aware of, by the attorney general's own inquiries or as a
result of complaints, any criminal or improper activity related to this
chapter, the attorney general shall investigate any criminal or civil violation
of law related to this chapter.

(C)
If the attorney general, by the attorney general's own inquiries or
investigation or as a result of complaints, has reasonable cause to believe
that any person has engaged or is engaging in an act or practice that violates
section 4738.02,
4738.03, or
4738.04 of the Revised Code,
the attorney
general may bring an action, with notice as required by Civil Rule 65, to
obtain a temporary restraining order, preliminary injunction, or permanent
injunction to restrain the act or practice. If the attorney general shows by a
preponderance of the evidence that the person has violated or is violating
section 4738.02,
4738.03, or
4738.04 of the Revised Code, the
court may issue a temporary restraining order, preliminary injunction, or
permanent injunction to restrain and prevent the act or practice. On motion of
the attorney general, or on its own motion, the court may impose a civil
penalty of not more than five thousand dollars for each day of violation of a
temporary restraining order, preliminary injunction, or permanent injunction
issued under this division, if the person received notice of the action. The
civil penalties shall be paid as provided in division (D) of this section. Upon
the commencement of an action under this division against any person licensed
under this chapter, the attorney general shall immediately notify the registrar
and the motor vehicle salvage dealer's licensing board that such an action has
been commenced against the person.

(D)
Civil penalties ordered pursuant to division (B) of this section shall be paid
as follows: one-fourth of the amount to the treasurer of state to the credit of
the public safety - highway purposes fund established
in section 4501.06 of the Revised
Code and three-fourths of the amount to the treasurer of state to the credit of
the general revenue fund.

Cite as R.C. § 4738.13

Amended by
132nd General Assembly File No.
TBD, HB 26, §101.01, eff.
6/30/2017; however, the modifications to provisions of law
requiring the deposit of funds into the Public Safety - Highway Purposes Fund
that are made in this section shall take effect not earlier than July 1,
2017.

The applications for licenses under this chapter are not part
of the public records but are confidential information for the use of the
registrar of motor vehicles, the motor vehicle salvage dealer's licensing
board, and municipal police officers, county sheriffs, and officers of the
state highway patrol. No person shall divulge any information contained in such
applications and acquired by him in his official capacity under this section
except:

(B) No
motor vehicle salvage dealer, salvage motor vehicle pool, or salvage motor
vehicle auction shall fail to keep or cause to be kept any record required by
this chapter or by rule of the motor vehicle salvage dealer's licensing board.

(A) Chapter
4738. of the Revised Code does not apply to a scrap metal processor engaged
primarily in the acquisition, processing, and shipment of ferrous and
nonferrous scrap, or who receives dismantled salvage motor vehicles, used motor
vehicles, or motor vehicle parts as scrap metal for the purpose of recycling
the motor vehicles or parts for their metallic content, the end product of
which is the production of material for recycling and remelting purposes for
mills, foundries, smelters, and refiners.

(B) A scrap metal processor who receives a motor
vehicle from the owner described on the certificate of title shall within ten
days mark the certificate "TO BE CANCELED," keep a record of the cancellation,
and forward the certificate to the clerk of the court who issued it. The clerk
shall notify the registrar of motor vehicles of such cancellation. The scrap
metal processor shall keep the record of the cancellation for three years after
creating the record. The record shall include a copy of the canceled title, and
if the seller of the motor vehicle is not the titled owner, the record also
shall include all of the following information about the seller:

(4) The seller's
expenditures for the motor vehicle. The scrap metal processor shall make a
record of a cancellation available to any requesting law enforcement agency
during the scrap metal processor's normal business hours.

(A) No person who is not licensed as a salvage motor
vehicle auction or salvage motor vehicle pool shall engage in the business of
selling salvage motor vehicle parts or salvage motor vehicles at wholesale.

(1) Any person licensed as a salvage motor vehicle
dealer under this chapter may sell salvage motor vehicle parts or salvage motor
vehicles at wholesale.

(2) Notwithstanding division (A) of this section, a person
may sell salvage motor vehicles or salvage motor vehicle parts at wholesale to
or through a salvage motor vehicle auction or salvage motor vehicle pool
without obtaining any license pursuant to this chapter if both of the following
apply:

(a) The acquisition of
salvage motor vehicles or salvage motor vehicle parts is incidental to the
primary business of the person.

(b) The disposal of those salvage motor vehicles or
salvage motor vehicle parts is incidental to the primary business of the
person.

The state, through the registrar of motor vehicles, in
accordance with this chapter, is the sole regulator for the registration,
licensing, and regulation of motor vehicle salvage dealers. This section does
not preempt the enforcement by local authorities of local zoning, health, or
safety codes or laws.

(A) Whoever violates section
4738.02 or
4738.03 of the Revised Code is
guilty of a misdemeanor of the second degree on a first offense; on each
subsequent offense, such person is guilty of a misdemeanor of the first
degree.